Corporate Law and Governance

Marco Becht, Patrick Bolton and Ailsa Röell

Chapter 12 in Handbook of Law and Economics, 2007, vol. 2, pp 829-943 from Elsevier

Abstract: This chapter surveys the theoretical and empirical research on the main mechanisms of corporate law and governance, discusses the main legal and regulatory institutions in different countries, and examines the comparative governance literature. Corporate governance is concerned with the reconciliation of conflicts of interest between various corporate claimholders and the resolution of collective action problems among dispersed investors. A fundamental dilemma of corporate governance emerges from this overview: large shareholder intervention needs to be regulated to guarantee better small investor protection; but this may increase managerial discretion and scope for abuse. Alternative methods of limiting abuse have yet to be proven effective.

Keywords: Corporate governance; ownership; takeovers; block holders; boards (search for similar items in EconPapers)
JEL-codes: K (search for similar items in EconPapers)
Date: 2007
ISBN: 978-0-444-53120-9
References: Add references at CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
http://www.sciencedirect.com/science/article/B7P5W ... 34e2aa07955f616432ed
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Corporate law and governance (2007)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:lawchp:2-12

Access Statistics for this chapter

More chapters in Handbook of Law and Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().